REAX (The Real Brokerage) ROE %: -23.32% (As of Mar. 2026)


REAX The Real Brokerage Inc REAX
62 GF Score
Price $1.85
GF Value $6.25
Valuation Significantly Undervalued
! 4 Warning Signs
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What is The Real Brokerage ROE %?

The Real Brokerage REAX +6.65% 62 ROE % is -23.32% as of Mar. 2026. GuruFocus rates REAX with a GF Score™ of 62/100 and a GF Value™ of $6.25 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,732 Real Estate companies, The Real Brokerage ranks worse than 87.18% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. The Real Brokerage's annualized net income for the quarter that ended in Mar. 2026 was $-14 Mil. The Real Brokerage's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was $59 Mil. Therefore, The Real Brokerage's annualized ROE % for the quarter that ended in Mar. 2026 was -23.32%.

The historical rank and industry rank for The Real Brokerage's ROE % or its related term are showing as below:

REAX' s ROE % Range Over the Past 10 Years
Min: -93.18   Med: -76.91   Max: -12.97
Current: -12.97

During the past 7 years, The Real Brokerage's highest ROE % was -12.97%. The lowest was -93.18%. And the median was -76.91%.

REAX's ROE % is ranked worse than
87.18% of 1732 companies
in the Real Estate industry
Industry Median: 3.97 vs REAX: -12.97

The Real Brokerage  (NAS:REAX) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=-13.684/58.683
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-13.684 / 1862.204)*(1862.204 / 141.8845)*(141.8845 / 58.683)
=Net Margin %*Asset Turnover*Equity Multiplier
=-0.73 %*13.1248*2.4178
=ROA %*Equity Multiplier
=-9.58 %*2.4178
=-23.32 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=-13.684/58.683
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-13.684 / -13.656) * (-13.656 / -12.512) * (-12.512 / 1862.204) * (1862.204 / 141.8845) * (141.8845 / 58.683)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0021 * 1.0914 * -0.67 % * 13.1248 * 2.4178
=-23.32 %

Note: The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


The Real Brokerage ROE % Related Terms


The Real Brokerage ROE % Historical Data

* Premium members only.

The historical data trend for The Real Brokerage's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The Real Brokerage ROE % Chart

The Real Brokerage Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial -70.82 -83.72 -93.18 -76.91 -19.34

The Real Brokerage Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -61.23 14.76 -3.48 -31.93 -23.32

REAX vs RMR, MLP, TCI: ROE % Comparison

For the Real Estate Services subindustry, The Real Brokerage's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Real Brokerage ROE % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, The Real Brokerage's ROE % distribution charts can be found below:

* The bar in red indicates where The Real Brokerage's ROE % falls into.


REAX
62GF Score
The Real Brokerage Inc REAX
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Real Brokerage ROE % Calculation

The Real Brokerage's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=-8.105/( (32.146+51.675)/ 2 )
=-8.105/41.9105
=-19.34 %

The Real Brokerage's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=-13.684/( (51.675+65.691)/ 2 )
=-13.684/58.683
=-23.32 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of -23.32% mean?
The Real Brokerage (REAX) has a ROE % of -23.32% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on The Real Brokerage and its competitors. According to the industry distribution chart, The Real Brokerage ranks #1510 out of 1732 companies in the Real Estate industry, placing it in the top 87.2%.
Is The Real Brokerage's ROE % too high?
The Real Brokerage's current ROE % is -23.32%. Based on the distribution chart, The Real Brokerage ranks #1510 out of 1732 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, The Real Brokerage has a GF Score™ of 62/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Real Brokerage's ROE % compare to RMR and MLP?
According to the Real Estate industry distribution chart, The Real Brokerage ranks #1510 out of 1732 companies for ROE %. This places The Real Brokerage in the lower half of its industry. The industry median ROE % is 3.97. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Real Estate company?
The median ROE % among Real Estate companies is 3.97, based on 1,732 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on The Real Brokerage and its competitors. For the Real Estate industry, the median ROE % is 3.97 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Real Brokerage's current ROE % is -23.32%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Real Brokerage stock overvalued right now?
Based on GuruFocus' analysis, The Real Brokerage (REAX) is currently considered Significantly Undervalued. The stock's GF Value™ is $6.25, compared to a current price of $1.85 — trading 70.5% below its estimated fair value. The current ROE % is -23.32%. The Real Brokerage's overall GF Score™ is 62/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For The Real Brokerage (REAX), the current ROE % is -23.32% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is The Real Brokerage (REAX) Overvalued in 2026?

Based on GuruFocus' analysis, The Real Brokerage stock appears to be undervalued. The current stock price of $1.85 is trading 70.5% below its estimated GF Value™ of $6.25. GuruFocus considers The Real Brokerage to be Significantly Undervalued.

Key valuation signals for REAX:

  • ROE %: -23.32%
  • GF Value™: $6.25 vs. price of $1.85 (70.5% below fair value)
  • GF Score™: 62/100 with 4 warning signs

No single metric tells the full story. See the REAX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


The Real Brokerage Business Description

Other Exchanges 87M:Germany
Address 701 Brickell Avenue, 17th Avenue, Miami, FL, USA, 33131
The Real Brokerage Inc is a technology-powered real estate brokerage firm located in the United States and Canada. It has developed a proprietary transaction management and brokerage operations software called reZEN, which powers nearly all of its brokerage operations, enabling efficiency, automation, and flexibility by incorporating end-to-end transaction management, automated compliance and brokerage oversight, integrated payments and financial services, Leo CoPilot, and open API for customization. In addition, the company also offers mortgage brokering and title services. The company's operating segments are North American Brokerage, which derives key revenue, One Real Title, One Real Mortgage, and Real Wallet. Geographically, it derives key revenue from the United States.
62GF Score

Get the complete analysis for REAX

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$1.85
Price
$6.25
GF Value